Eldorado profits falt as higher costs in China offset revenue gain
Feb. 1, 2007 file photo of a miner holding a gold nugget in the Brazilian Amazon. (AP Photo/Victor R. Caivano)
Published Friday, February 22, 2013 11:13AM EST
VANCOUVER -- Eldorado Gold Corp. (TSX:ELD) reported Friday that per share profits were flat in the fourth quarter as increased revenue from gold sales and lower income tax expenses were offset by higher operating costs at mines in China.
The Vancouver-based company with operations in Turkey, China, Greece, Romania and Brazil, said Friday that earnings attributable to shareholders for the three months ended Dec. 31 were US$115 million or 16 cents per diluted share on revenue of US$350 million.
That compared with profit of US$88.8 million or 16 cents per share on revenue of US$304.6 million in the same 2011 period.
Full-year earnings attributable to shareholders totalled US$305.3 million or 44 cents per diluted share on revenues of US$1.14 billion. In 2011, the company posted a profit of US$318.7 million or 58 cents per share on revenue of US$1.1 billion
"In addition to the continued strong earnings and production achieved in 2012, the company completed its acquisition of European Goldfields Ltd. during the year, significantly increasing our gold reserves," president and CEO Paul Wright said in Eldorado's earnings release.
"As well, the company strengthened its cash position through the issuance of senior notes totalling $600 million, proceeds of which will be used to fund a strong set of development projects in the pipeline."